shocks and study their effects on financial variables and macro variables. The first shock resembles a conventional monetary … policy shock, and the second resembles an unconventional monetary shock. The third shock leads to an increase in interest … rates, stock prices, industrial production, consumer prices, and commodity prices. At the same time, the excess bond premium …

an increase in the interest rate and a drop in stock prices, while a positive information shock is identified when both … and the stock market in the US around FOMC announcements. A restrictive monetary policy shock in the US is identified by … increase stock prices, real activity and prices in Mexico. In contrast, restrictive US monetary policy shocks tighten financial …